Impact and Strategic Direction

This presentation discusses the concept of globalisation, driving factors, impact of digital technology, PESTLE analysis, challenges, strategic challenges, recommendations, and conclusion.

Impact and Strategic
Direction
Task 1 and Task 2

Table of content
• Introduction
• Concept of globalisation
• Driving factors of globalisation
• Impact of digital technology on globalisation
• PESTLE analysis
• Challenges of globalisation
• Strategic challenges globalisation represents to
organisation
• Recommendations to overcome challenges
• Conclusion
• References

Introduction
Now a days all the business entities are planning to expand their
business in different countries in order to capture large market
share. For this purpose all of them are following concept of
globalisation as it can help to acquire growth for business.
CAMECO is a chemical company based in South Africa is
planning to expand in different countries. This presentation is
based upon globalisation and challenges which may take place in
future due to it.

Concept of globalisation
Globalisation can be defined
as the process of interaction
and integration among
companies and people who
belongs to different countries.
It guides business entities to
find the ways in which
business could be expanded at
international level.

Driving factors of globalisation
There are various factors which are driving globalisation
description of all of them is as follows:
Cost: There are various factors that are related to cost and driving
globalisation. It includes international economic integration, foreign
direct investment etc.
Market: There are various factors which are driving globalisation
and related to market. These are technical standards, government
policies etc.

Continued...
Environment: As globalisation results in cultural
exchange and increased consumption of products therefore
it leaves impact upon ecological cycle.
Competition: It is one of the major factors which are
driving global commerce and trade because currently
competition at global level in increasing massively.

Impact of digital technology on globalisation
There are various impacts of digital technology on globalisation
which could be understood with the help of following points:
• Continuous advancement in technology facilitating globalisation
because it helps such organisations to analyse the latest trends
which can help them to expand the business globally.
• Due to enhancement of technology cost of transportation gets
reduced which helps organisations to increase their foreign
trade. Hence, it impacts globalisation in positive manner.

PESTLE analysis
It is a tool which is used by companies to analyse external
environment in order to analyse positive and negative impacts of
different factors.

Continued...
Political: It is a combination of different political forces such as
trade tariffs, taxation policies and other influences.
Economic: Inflation, deflation, foreign exchange etc. rates are part
of economic factors.
Social: Elements such as culture, belief, demographic changes,
buying behaviour of customers etc. are examples of social factors
which are required to be focused by organisations to execute
business operations appropriately.

Continued...
Technological: Latest trends, technical advancement etc. are
considered as the examples of such factors.
Legal: There are various types of rules and regulations such as
employment law that are imposed by legal authorities of a
country.
Environmental: While operating business in a country it is very
important for companies to make sure that all the rules and
regulations are complied by them or not.

Challenges of globalisation
• Globalisation has resulted in job mobility in less
developed and developing countries. Large organisations
hire employees who are coming from such nations as they
can work for low compensation.
• Continuous growth of globalisation is resulting in loss of
cultural identity because it has made foreign culture
easier to access. Success of some of the cultures have
affected the standard of living of other countries.

Strategic challenges globalisation represents
to organisation
Globalisation creating various challenges to CAMECO
which are required to be identified by the managers and try
to find the ways in which all them could be dealt
appropriately. All the challenges are as follows:
• Competition at the global level is increased for
CAMECO because all the organisations in the sector are
willing to attain competitive advantage.

Recommendations to overcome challenges
In order to overcome all the challenges that are faced by
CAMECO it is vital for the managers to be aware of market
situations and identify the opportunities that are available in
the market. It has been recommended to the top level
executives of CAMECO to make sure that they are having a
good market image in order to deal with the competition and
attract large number of customers.

Conclusion
This presentation concludes that globalisation is a tool for the
companies that are willing to expand their business in multiple
companies. There are various factors which are driving global
commerce and trade these are cost, market, environment and
competition. Different types of challenges are faced by
organisations which includes competitive marketplace, lack of
sources of foreign direct investment etc. In order to overcome all of
them enterprises are required to be aware of market trends and
formulate business strategies according to it.

References
Vellas, F., 2016. The international marketing of travel and
tourism: A strategic approach. Macmillan International Higher
Education.
von Furstenberg, G. M., 2017. New directions in global economic
governance: managing globalisation in the twenty-first
century. Routledge.
Waddell, D. and et.al., 2016. Organisational change: Development
and transformation. Cengage AU.

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